For each of the following questions, indicate whether the margin and turnover will increase, decrease, or remain unchanged as a result of the events described, and then compute the new ROI figure. Consider each question separately, starting in each case from the original ROI computed in (1) above.

Orginal ROI = 16.77%

1E. The company issues bonds and uses the proceeds to purchase $125,000 in machinery and equipment at the beginning of the period. Interest on the bonds is $14,000 per period. Sales remain unchanged. The new, more efficient equipment reduces production costs by $6,000 per period. (Round your intermediate calculations and final answers to 2 decimal places. Omit the "%" sign in your response.) Find Margin, Turnover, and ROI.

1F. The company invests $179,000 of cash (received on accounts receivable) in a plot of land that is to be held for possible future use as a plant site. (Round your intermediate calculations and final answers to 2 decimal places. Omit the "%" sign in your response.) Find Margin, Turnover, and ROI.

1G. Obsolete inventory carried on the books at a cost of $15,000 is scrapped and written off as a loss. (Round your intermediate calculations and final answers to 2 decimal places. Omit the "%" sign in your response.) Find Margin, Turnover, and ROI.

Total Unit 1,006,000 $50.30 Sales 603,600 30.18 Variable expenses Contribution margin 402.400 20.12 Fixed expenses 318.400 15.92 Net operating income 84,000 4.20 33,600 1.68 Income taxes 40% 50,400 2.52 Net income The company had average operating assets of $501,000 during the period